Hey, your teacher may have had particular experiences due to the style of how there teacher marks SACs but I didn't focus on learning exact definitions and found that it was far more important to focus on understanding.
VCAA does not expect you to remember exact words except for the definitions of EEG, EMG and ECG which are covered in unit 3&4. If you do want to memorise content, making flashcards on your phone so you can practice while travelling etc. is very useful. For most people, teaching others content is a great way of checking that you understand the content and of ingraining it in your memory. With psychology in particular, there are heaps of connections between topics; connecting different ideas with eachother also aids in remembering each of those ideas. Some people like to do this visually with mindmaps etc. but even just thinking about the connections can also help.
Hope you've found this useful